Exploring the influence of governmental policies on hybrid car purchase intention in Malaysia

Malaysia continues to face environmental problems caused by rapid development and urbanization. The environmental issues have induced automotive industries to produce more environmental friendly cars that will reduce the damage to the environment. The objective of this study is to explore the influence of governmental policies including free parking fee, car price subsidization, auto scrappage program, road tax exemption, import tax exemption, sales tax exemption and excise tax exemption on consumer hybrid car purchase intention in Malaysia. In addition, this study also examines the relationship between governmental policies and hybrid car purchase intention. The finding of the study enables to provide valuable information to the policy maker and vehicle manufacturer on improving the penetration rate of hybrid car in Malaysia’s market. The questionnaires will be distributed to 400 respondents who live in Malaysia. SPSS and AMOS will be used to analyze the data collected.